TechnipFMC braces Wall Street for $2.4bn write down in Q4

Global oilfield service giant TechnipFMC has warned Wall Street to brace for a $2.4 billion hit to the value of the company’s assets when it releases its fourth-quarter and 2019 reports Feb. 26.

Citing greater geopolitical uncertainty and lower crude-oil prices, TechnipFMC said it’s writing down the value of its subsea assets by $1.7 billion and is reducing the estimated value of its onshore assets by $700 million.

Headquartered in Paris with a large presence in Houston, TechnipFMC attributed the write down for the subsea assets to “reduced market capitalization” while the reduction in value for the company’s onshore assets is being attributed to a lower activity outlook for shale plays in the United States and Canada.

The silicon in sand can be used to produce forms of electricity.

This article first appeared on the Houston Chronicle – an Energy Voice content partner. For more from the Houston Chronicle click here.